Has nothing to do with history of that building, it was to do that it was a city asset and the city does want to be dealing with a white elephant. Ultimately it came down to someone showing up with the money, investment group for the NHL and willing to work with the community and getting the city a team (2 teams eventually) to get the project done.
Hansen basically tried to basically get sodo arena rubber stamped while doing nothing to make sure it was a solid enough plan (including dealing with Key arena) and actually showing he can bring a team to Seattle. No $$$ billionaire whale (to replace balmer after he left), no NHL group (he refused to work with NHL interested groups), didn't even show up to work with SCC to address issues after the switch over to districts and never bothered to work with the community to address their concerns. He could have easily gotten it built if he wasn't stubborn about insisting that it won't be built unless a NBA team shows up which wasn't going to happen within the 5 years the street vacation limit. I'm not even sure if it was even legal for the city to give him the street vacation with a project that had so much uncertainty
The city had within their own right to say no especially to a project with a whole lot of uncertainty. People can blame the city all they want that it was there fault that they want to shove key arena down our throats, that they don't give a darn about the NBA etc. And yes there are still people like that today that are still pissed off at the city for saying no to Hansen. And yes there are still people who think NBA is dead forever in Seattle cause the city said no to Hansen.
Both the NBA and the NHL could have killed OVG's arena plan by saying no we are not interested to the city. That never happened. Both leagues do not give a rip about where the arena is located as long as its within the core population (which it is). All they care about is that the building happens and meets their requirements. The NBA will eventually return and it'll be in one and only one arena, Seattle Center arena.
The fact remains Hansen screwed up big time especially when his plan was the only one there and that is not the city's fault.
Just compared the differences between Hansen arena group and OVG in terms of the whole arena process. OVG got the political process done with not a single SEPA challenge within 18 months. Hansen's plan would have ended up in the courts with several SEPA challenges calling it illegal and should been tossed out etc.
With how infamous Seattle is about its political process and political red tape, it is amazing that OVG got it done as soon as it did. This is unheard off in Seattle for a project that large to go so smoothly and not a single objection. This is just shows how one group knows how to get arena projects through politics and get things done vs the other has no idea how to play the game of politics.